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Sprint Nextel CEO Dan Hesse warned Wednesday that carriers will need to convince subscribers to spend more on existing services rather than count on attracting lucrative new customers to keep revenues growing. After reporting earnings, Hesse said, "the economic model will change. And postpaid phone service will not be as dominant in terms of what drives success in the market." Separately, Sprint said it will begin rolling out its HD Voice service over Long-Term Evolution networks in several markets this quarter, after resolving service-quality problems. The carrier said HD Voice would be limited at first, and it could take several months before interoperability issues are resolved.

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Sprint Nextel will retain its unlimited data packages, at least for the foreseeable future, CEO Dan Hesse told analysts Thursday after the carrier reported earnings. Hesse also gave an update on the telecom's "Network Vision" rebuilding efforts, describing mixed results. "We are behind our original objectives with Network Vision," he conceded, citing the effects of vendor delays and Hurricane Sandy. Executives said Sprint appears to be ahead of schedule in deploying Long-Term Evolution service on its iDEN network's 800 MHz range as the carrier moves its Nextel customers off the spectrum.

Sprint Nextel CEO Dan Hesse says the carrier will speed up its initial rollout of Long-Term Evolution services, deploying LTE in the first half of the year in 10 markets, including Dallas, San Antonio, Houston and Atlanta. He also told an investor conference that the "truly unlimited" network that Sprint advertises actually cuts back the speed for the most prolific data users -- about 1% of its base.

Sprint Nextel CEO Daniel Hesse told Smartmoney.com he did not expect to see major industry consolidation in the next few years "given how big the four large players are." In an interview, Hesse touted the wireless carrier's improved customer service and network performance as well as its more solidified cash flow. Also, Sprint said Tuesday that it had expanded its cell phone recycling program to include devices from other carriers and manufacturers.

Sprint Nextel CEO Dan Hesse told analysts Wednesday that its 4G WiMAX service would be "enormously important" to the carrier this year, telling them the carrier has much at stake as it attempts to stem a declining customer base. Hesse also said Sprint's growing prepaid service would seek to avoid eating into its core business by marketing the product through different brands and distributors. Sprint also said it would begin mobile digital-TV trials in the Washington, D.C., and Baltimore areas with Samsung this quarter.

The overwhelming majority of Sprint Nextel's new prepaid subscribers are new to the company and not cannibalizing the carrier's more profitable postpaid packages, CEO Dan Hesse said Thursday. He said fears that Sprint's unlimited Boost Mobile prepaid plan would cut into its contract-based revenue had proved unfounded. Hesse predicted a shift back in favor of postpaid plans once the economy rebounds.